You may be aware that for many months now the global supply of silicone is being squeezed. Allocations are under pressure and substantial cost increases have been applied by compounders worldwide. Worse still this uncertainty is set to continue throughout 2019.
Multi-national raw material suppliers such as Wacker, Momentive and Elkem have tightened raw material availability to sheeting and component manufacturers, giving priority to bigger market users such as the electronics/semi-conductor industries. These micro-electronics users have traditionally paid a higher price for the raw material than the elastomers market sector. As a consequence the lead times extend and pricing inevitably rises. Some compounders have increased prices by as much 25%.
We have received two material increases in 2018, this is unprecedented and illustrates the instability we are currently experiencing. We have now reached the point we need to amend our prices levels, so from 1st February 2019 we are increasing our range of Silicone sheets products (solid & sponge) by 9%.
We pledge to work even harder with the customers we serve by being creative & innovative – for example:
We recognise that price increases are never welcome, but to guarantee our collective futures for quality Silicone Sheet Products, we trust we may count on your valuable support in these difficult times.
We would be glad to discuss any issues or concerns you may have – to do so, please call Lance Bradley, Commercial Director, on 01777 712402 or email email@example.com